Debate contribution: December Monitoring

Debate contribution by Mr John O'Dowd on 9 December 2025.

MLA

Mr John O'Dowd

Party at the time

Sinn Féin

Date

9 December 2025

Type

Debate contribution (made as a minister)

Business

Ministerial Statement

Heading

December Monitoring

Assembly identifier

Official Report component 5295957

Read the official Assembly record

Text

Thank you for the opportunity to update Members on the 2025-26 December monitoring round, which was agreed by the Executive earlier today. Reaching that decision as soon as possible following the autumn Budget was essential to provide Departments with the certainty that they need to plan and deliver. That was particularly important, given the magnitude of the capital funding allocations that we are in a position to make to allow investment in vital infrastructure. Looking now — I think that it is time for the glasses — at the funding available for allocation, following the autumn Budget, the Executive had the following available for allocation: £111·2 million resource departmental expenditure limit (DEL); £162 million capital DEL; £16·8 million financial transactions capital (FTC) DEL; and £0·9 million ring-fenced resource DEL. Turning first to resource DEL, I will begin by addressing a prior commitment made by the Executive as part of June monitoring. The Executive agreed that the Department of Justice would have first call of up to £7 million towards PSNI workforce recovery costs, recognising the importance of investing in our police workforce. That funding is now being allocated in full. On 16 October, the Executive agreed that the Departments of Health, Education, Justice and Infrastructure would have first call on available funding of up to £150·4 million in total for pay awards. No other resource bids were sought from Departments. Instead, the focus was on working towards meeting those previous commitments to ensure that public-sector workers receive the pay that they deserve. The autumn Budget delivered just £18·8 million in additional Barnett consequentials this year. Combined with reduced requirements from Departments, that meant that the Executive had £104·2 million of available funding to allocate. In line with the prior commitment to public-sector pay, the Executive have therefore agreed that the funding available will be provided across the four Departments earmarked for pay. That represents a significant step towards supporting pay award costs for health workers, police, teachers and infrastructure workers. The Department of Health will receive an allocation of £69·3 million for the Health and Social Care (HSC) pay award. The Department of Education will receive £25·6 million for teachers' pay. The Department of Justice will receive £4·6 million for the PSNI pay award. The Department for Infrastructure will receive £4·6 million for pay awards. I understand that the additional funding provided in the December monitoring round will allow the Minister of Justice to work with the Chief Constable on delivering police pay recommendations. The ministerial direction agreed by the Executive for health workers' pay parity will ensure that there is no delay in the implementation of the award to health workers. Today's allocation demonstrates the priority that the Executive and I attach to our vital public-sector workers and our desire to support public-sector pay despite the financial constraints that we face. I have asked all Ministers to endeavour to find further efficiencies to help to fund the pressures that are facing Departments. I have also committed that, should any further Barnett consequentials arise from the Westminster Estimates in January, I will move quickly to bring recommendations to the Executive to allocate that funding towards those costs. Moving to capital DEL, the Executive have agreed allocations of £162 million targeting key priorities across social and affordable housing, education, health and infrastructure. The Department for Communities will receive £42·4 million. That includes £29·8 million to meet in full its bid for the social housing development programme. That investment will be a major contribution to the Executive's Programme for Government (PFG) target of providing more social, affordable and sustainable housing. That investment and others that I am announcing today will be a huge boost to the construction industry and the local economy by sustaining and creating jobs. There is £8·6 million for the cladding safety scheme, which will ensure that residents live in buildings that have the necessary building safety standards, and £4 million for priority adaptations to Housing Executive properties for tenants living with a disability. The Department for the Economy will receive £12·6 million to provide strategic support for higher education research and essential works in further education colleges, investing in skills and innovation for the future. The Department of Education will receive £22 million, which includes £5·2 million for essential school maintenance; £3·2 million for schools' minor works and energy-saving solutions; £6·7 million for business-critical ICT pressures; £1 million for ICT infrastructure contractual commitments; and £6 million for Irish-medium accommodation and facilities. The Department of Health will receive £25·2 million, recognising our commitment to investing in our health service and supporting bids to modernise it. Allocations include £19·7 million for IT equipment and £5·5 million to tackle significant backlog maintenance across the health estate. Finally, the Department for Infrastructure will receive £59·8 million, which will fund £34·1 million for waste water services, public transport, rail and road projects and ensuring that the Department can maximise the delivery of capital projects to meet statutory obligations; £13·2 million for road maintenance and safety improvements; £4·1 million for drinking water infrastructure, which supports housing development as well as improving water quality; £5 million for new trains and track improvements to support the Enterprise cross-border service, which will enhance connectivity on the island of Ireland on the cross-border rail corridor between Belfast and Dublin; £2 million for street lighting, contributing to safer environments and encouraging more active travel; and £1·5 million for the A26 Glarryford Lands Tribunal case. The Executive also agreed a central allocation of £0·027 million capital DEL to the Department of Agriculture, Environment and Rural Affairs for the city and growth deals complementary fund. On financial transactions capital DEL, the Executive have allocated £2·5 million to the Department for the Economy for Invest NI to support businesses and encourage innovation, as well as £1·5 million to the Executive Office for capitalised loan interest. Following those allocations, there remains £12·8 million of FTC to be allocated. I have encouraged all Ministers to explore further opportunities for utilising FTC in the remainder of this financial year. Full details of all the allocations that have been made are set out in the tables accompanying the statement. Ring-fenced resource DEL can be used only for non-cash costs relating to depreciation and impairments. Given that only £0·9 million was available for allocation, no allocations have been made in this round. Should funding become available at Westminster Estimates, it will be allocated in line with the bids set out in the tables accompanying the statement. To increase transparency, the statement is also accompanied by tables outlining the detail of changes to departmental budgets. Included under "Technical Adjustments" are Treasury-earmarked funding for city and growth deals and budget cover transfers from Whitehall Departments. In total, those amount to £11·6 million resource DEL and £26·6 million capital DEL. The allocations made today reflect our determination as an Executive to deliver tangible change across a wide range of public services and utilities. Despite the highly constrained financial environment, we continue to invest in our workers and public services. The allocations agreed will make a positive difference to citizens' lives across society. Much-needed funding is being provided towards public-sector pay awards. Reflecting our key priorities in the Programme for Government, capital allocations have been made to enable the delivery of new social housing. We are also investing in our schools estate, further education colleges and higher education institutions, reflecting our commitment to supporting learning and delivering investment in skills. We have also agreed funding for infrastructure, which is critical to sustainable economic growth and connectivity, with allocations for key projects in water, roads and rail. Following the conclusion of the December monitoring round, my next step will be to bring the multi-year Budget to the Executive. The multi-year Budget will give Departments the certainty they need to plan on a longer-term and more strategic basis and to transform our public services for the years ahead.

1,315 words. Text as published by the Northern Ireland Assembly.

Assessment

Not flagged

Jev’s structured answers

Assessed 21 October 2026 at 14:07 UTC by jev-1.13.0 (requested as typesafe/jev) under rubric 2026.10-r9, methodology 1.9.

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